The eastern city was a strong base for Islamic militant groups Abu Slim Brigade and Ansar al-Sharia.

The groups have announced that they would be disbanding following the recent protests by Libyan activists and government forces.

"The militia in Derna saw what happened last night and they decided: we will not kill our brothers. So they disbanded. They said they no longer exist as militias in Derna. They will go home and leave security to the interior ministry and army," Siraj Shennib, a linguistics professor who participated in the protests, told Reuters.

Before leaving the public buildings, a brief confrontation between protesters and militiamen was reported but it soon fizzled out when militants decided to vacate the region and not use force against the protesters.

"The people started coming because it has reached the limit. They are saying: we've had enough," he said. "It was a very peaceful operation. We are happy and we appreciate the effort the militias have done to save people from conflict."

Reports suggest that Derna was under constant watch by the protesters over the last two weeks before the demonstrations broke out. Derna was believed to be a prominent recruitment centre for Islamic militants where they were trained to carry out attacks in various countries. However, others contest this view.